Comparing Amerigo Resources (OTCMKTS:ARREF) & Coeur Mining (NYSE:CDE)

Coeur Mining (NYSE:CDE) and Amerigo Resources (OTCMKTS:ARREF) are both basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, institutional ownership, analyst recommendations and risk.

Profitability

This table compares Coeur Mining and Amerigo Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Coeur Mining	13.06%	14.38%	8.78%
Amerigo Resources	8.74%	15.93%	8.31%

Volatility & Risk

Coeur Mining has a beta of 1.19, indicating that its stock price is 19% more volatile than the S&P 500. Comparatively, Amerigo Resources has a beta of 1.84, indicating that its stock price is 84% more volatile than the S&P 500.

Insider & Institutional Ownership

63.0% of Coeur Mining shares are owned by institutional investors. 1.5% of Coeur Mining shares are owned by company insiders. Comparatively, 19.3% of Amerigo Resources shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Coeur Mining and Amerigo Resources”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Coeur Mining	$1.05 billion	10.65	$58.90 million	$0.37	47.19
Amerigo Resources	$192.80 million	1.54	$19.24 million	$0.11	16.68

Coeur Mining has higher revenue and earnings than Amerigo Resources. Amerigo Resources is trading at a lower price-to-earnings ratio than Coeur Mining, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations and price targets for Coeur Mining and Amerigo Resources, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Coeur Mining	0	1	6	3	3.20
Amerigo Resources	0	0	0	0	0.00

Coeur Mining currently has a consensus target price of $9.79, suggesting a potential downside of 43.95%. Given Coeur Mining’s stronger consensus rating and higher probable upside, equities analysts plainly believe Coeur Mining is more favorable than Amerigo Resources.

Summary

Coeur Mining beats Amerigo Resources on 12 of the 15 factors compared between the two stocks.

About Coeur Mining

Coeur Mining, Inc. explores for precious metals in the United States, Canada, and Mexico. The company primarily explores for gold, silver, zinc, and lead properties. It markets and sells its concentrates to third-party customers, smelters, under off-take agreements. The company was formerly known as Coeur d'Alene Mines Corporation and changed its name to Coeur Mining, Inc. in May 2013. Coeur Mining, Inc. was incorporated in 1928 and is headquartered in Chicago, Illinois.

About Amerigo Resources

Amerigo Resources Ltd., through its subsidiary, Minera Valle Central S.A., engages in the production and sale of copper and molybdenum concentrates from Codelco's El Teniente underground mine in Chile. The company was formerly known as Golden Temple Mining Corp. and changed its name to Amerigo Resources Ltd. in March 2002. The company was incorporated in 1984 and is headquartered in Vancouver, Canada.